Bangladesh’s interim government has ruled out any possibility of deferring its graduation from the UN’s Least Developed Country category, despite repeated appeals from businesses and experts worried about the country’s readiness.
“The interim government has no intention of delaying the LDC graduation process, nor does it have the scope to do so,” said Anisuzzaman Chowdhury, Special Assistant to the Chief Adviser, at a seminar on “LDC Graduation and Bangladesh’s Preparedness” organised by the Economic Reporters Forum (ERF) on 13th September in Dhaka.
Govt position: No legal room for delay
Anisuzzaman explained that delaying graduation requires a formal application to the UN Department of Economic and Social Affairs (UN-DESA) by February, which would then be reviewed by the Committee for Development Policy (CDP) and later by the UN General Assembly in July.
Since Bangladesh made no such request this year, the matter is absent from the UN agenda. With the current government set to remain only until February 2026, any future decision would depend on the next elected administration. He added that even if Bangladesh applied, winning approval would be difficult, as over half of UN members must vote in favor. Other LDCs, he argued, may oppose a delay, perceiving Bangladesh as already having maximized LDC benefits.
Business leaders sound alarm
Private sector leaders expressed serious concerns about the risks of a rushed transition:
Md. Hatem, President of BKMEA, warned the economy remains “fragile” and “on life support” in some sectors. He called for government-business consensus on challenges and solutions post-graduation.
Inamul Haq Khan Bablu, Senior VP of BGMEA, urged a three-year delay, saying the apparel industry is unprepared for strict EU compliance rules and risks losing preferential market access. A delay, he argued, would give Bangladesh six years of preparation time to negotiate Free Trade Agreements (FTAs) and Preferential Trade Agreements (PTAs).
Mustafizur Rahman, CEO of the Bangladesh Association of Pharmaceutical Industries, voiced concern over the energy crisis and warned of a sharp drop in pharma exports once Bangladesh loses TRIPS patent waivers after graduation.
Debate over next steps
While the government insists graduation is procedurally unavoidable, industry leaders fear loss of trade benefits, rising compliance pressures, and weaker export competitiveness. They urged policymakers to urgently negotiate alternative trade deals and strengthen domestic resilience.
As eight other countries have already graduated from LDC status, experts say Bangladesh must learn from their experiences and urgently prepare strategies to safeguard key industries.
